Hanoi – Vietnam’s textile and garment sector has demonstrated significant progress in the first seven months of 2025, with export revenues exceeding $26.33 billion. This marks a $5.3 billion increase, representing a growth of 9% compared to the same period last year.
In order to meet the ambitious annual target of $47–48 billion, the industry now faces the challenge of achieving monthly exports of over $4 billion for the remainder of the year. This goal is particularly daunting, especially as Vietnamese exports to the U.S. are still subject to tariffs as high as 20%, which creates a considerable disadvantage compared to other market competitors.
Industry insiders anticipate that the latter half of the year may bring challenges. Consequently, maintaining a stable workforce has become a critical focus. Companies are being encouraged to assess and upgrade their equipment to efficiently handle new orders.
Le Tien Truong, Chairman of the Vietnam National Textile and Garment Group (Vinatex), emphasized the necessity of wisely adjusting production plans in the upcoming months to secure jobs and livelihoods for workers.
Businesses must also implement adaptable financial management strategies to stay competitive, absorbing rising costs and adjusting prices to retain business in a challenging market landscape.
To achieve their objectives, companies should capitalize on the 17 new-generation free trade agreements currently in force. Additionally, they need to stay agile in response to institutional and economic changes, especially as major global players diverge on significant trade and economic policies.
Investments in modern machinery and equipment, as well as efforts to enhance workforce skills, are also encouraged. Transitioning from traditional CMT (cut-make-trim) processes to more advanced models such as FOB (free on board), ODM (original design manufacturing), and OBM (original brand manufacturing) are vital for increasing product value and strengthening Vietnam’s role in the global supply chain.
External support plays a crucial role as well. Companies require clearer market insights and should utilize trade, export, and payment policies to manage risks amid evolving regulations.
The government is urged to implement supportive policies regarding credit, taxation, land, and infrastructure, especially in developing modern industrial zones and clusters, to attract investment and decrease reliance on imported raw materials.
Vu Duc Giang, Chairman of the Vietnam Textile and Apparel Association (VITAS), highlighted the urgent need to protect existing markets while establishing new partnerships.
He stated, “Each business must strengthen its supply chain links. After learning from tariff issues and Europe’s green product standards, they must proactively build more sustainable, resilient value chains.”
